Court grants injunction requiring man to vacate Dublin house

Receivers appointed by a financial fund have obtained a High Court injunction requiring a man to vacate a residential property in west County Dublin.

In a judgment on Wednesday, Ms Justice Leonie Reynolds ruled the receivers were entitled to orders requiring Paul Coates to vacate what was described as a substantial premises at Coldwater Lakes, Saggart.

The injunction is to remain in place pending a full hearing of the legal dispute.

The orders were sought by receivers Luke Charleton and Andrew Dolliver, who were appointed by Promontoria Aran Limited in December 2016 arising out of Mr Coates's failure to repay a loan advanced to him by Ulster Bank in 2005.

The property served as security for the loan, which was used to assist a personal investment in a capital guarantee bond. Promontoria acquired the loans from Ulster Bank in February 2016 and claimed it was owed €1.5 million by Mr Coates.

It brought proceedings after Mr Coates refused to give up vacant possession of the property.

Mr Coates had argued the property has been his principal private residence since May 2015.

He claimed the receivers failed to afford him an opportunity to avail of the mortgage arrears resolution process, as required by the Central Bank’s 2013 code of conduct on mortgage arrears.

He also claimed the proceedings should have been brought before the Circuit Court.

The court also heard Mr Coates had threatened to make a formal complaint against the receivers to An Garda Síochána alleging harassment, duress and undue influence.

Lawyers for the receivers denied the claims and argued the code of conduct did not apply because Mr Coates drew down a commercial mortgage for investment purposes in respect of the property.

Rejected arguments

In her judgment, Ms Justice Reynolds rejected Mr Coates’s arguments.

She did not accept the property constituted Mr Coates’s principal private residence in circumstances where it was clear that it remained the security for a commercial loan he had entered into in 2005.

The judge also said Mr Coates had failed to clarify where he had resided and his official address for several years prior to when he claimed the Saggart property became his principal residence.

Since taking up residence, Mr Coates had discharged a total of €3,000 against the total liability of €1.5 million to the fund, she said.

This was until agreement was reached at the end of the hearing of the injunction application for the payment of €2,000 per month pending the resolution of the proceedings.

Mr Coates had additional debt of some €6.9 million to Permanent TSB, currently being addressed on an interest-only basis, the judge added.

No explanation was given to the court as to his ability to discharge the money due given that Mr Coates has no disclosed source of income, she said.

She was satisfied a strong arguable case was made out allowing the court to grant the reliefs sought by the joint receivers.

The matter was returned to next week.